This is the Daily Hit – a recap of the top business stories in the cannabis industry for March 9, 2022.
On The Site
In the continuing battle between MedMen (OTC: MMNFF) and Ascend Wellness (OTC: AAWH), Ascend’s CEO Abner Kurtin addressed the situation during the company’s earnings call after the market closed. On Monday, MedMen filed another court document amending its allegations over political influence peddling. In that filing MedMen essentially said that it may have had incorrect details, but the company still stands by its accusations. It has accused the New York political machine of approving the acquisition but only after the Governor’s office received a donation from Ascend. Read more here.
When you take a big picture look at the psychedelics industry, you can easily get starry-eyed: Predictions of $6.85 billion industry by 2027. Mental health and wellness demands firing up a ready-made market. Support from more and more mainstream educational and institutional organizations creates credibility and access. Big money investors all in. Yet most of these psychedelic companies are startups, still in the product research and development stage, working on novel compounds, with no product, no revenue, as they spend more and more on research and development just to stay in the game. Read more here.
In Other News
TerrAscend Corp. (CSE: TER) (OTCQX: TRSSF) and Gage Growth Corp. (CSE: GAGE) (OTCQX: GAEGF) announced that they intend to close the previously announced acquisition of Gage by TerrAscend by way of a court-approved plan of arrangement under the Canada Business Corporations Act on March 10, 2022, subject to satisfaction or waiver of all remaining closing conditions. Upon completion of the Transaction, TerrAscend will have an expanded footprint with owned and managed operations in California, Michigan, Maryland, New Jersey, Pennsylvania, and Canada, including 7 cultivation and processing facilities and 25 operating dispensaries serving medical and adult-use cannabis markets in the U.S. and Canada. Read more here.